Title: U.S. Stock Market Abandoned Stocks with a Chance of Resurrection in 2024
In an unexpected turn of events, the U.S. stock market saw strong performance in 2023 despite raising interest rates. Technology continues to be the driving force behind the stock market performance, with sectors such as chips, AI, Internet, and virtual currency showing growth potential.
However, among the rising stocks, there were also many companies that have not shown growth, relying on the power of reversal of difficulties to soar several times. Most of the top 10 stocks in the U.S. stock market gainer list in 2023 were not well-known companies, which achieved a rebound that is difficult for other stocks to match.
Looking towards 2024, the focus is now on which stocks that were abandoned in 2023 are about to be resurrected. Sectors that underperformed in 2023, such as non-durable consumer goods, U.S. communications operators, and the renewable energy sector, are expected to show signs of resurrection in 2024.
In the non-durable consumer goods sector, companies such as Nike, Procter & Gamble, and Coca-Cola maintained a certain growth rate in revenue in 2023, and their profits reached new highs. With the context of interest rate cuts, these companies are expected to regain valuation attractiveness after experiencing adjustments in 2023.
U.S. communications operators, such as Verizon and AT&T, are also expected to show signs of improvement as their valuations become more attractive in a low-interest environment.
The pharmaceutical sector, which performed poorly in 2023, is expected to see a rebound, particularly with the potential for mergers and acquisitions, promoting the return of value of small biotech stocks.
The renewable energy sector, including big star stocks such as ENPH and SLAR, are expected to rebound in 2024 with the growth of household photovoltaics and energy storage.
Chinese concept stocks are also worth looking forward to, despite the challenges faced in 2023. The valuation difference between Chinese concept stocks and their U.S. counterparts may see a reversal in 2024. Additionally, industrial and agricultural sectors that underperformed in the market are expected to experience a modest improvement in 2024.
Overall, the U.S. stock market has seen rationalized valuations, and with new challenges and opportunities on the horizon for 2024, investors are looking towards abandoned stocks with the potential for resurrection in the coming year.